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Oct 25, 2006 Gina Form Bra closed down: action needed today! Your action is needed TODAY to support the Gina Form workers in Thailand. Action in support of Gina workers at Victoria Secret and inside the Clover Group office - Hong Kong Oct 20, 2006
Faced with the threat of closure (originally announced for 31st October) of their factory, and the continued unwillingness of Gina management to negotiate directly with the union and to discuss alternatives to closure, the union stepped up the campaign in the past weeks.

Despite a military coup in their country, the Gina Form workers have bravely taken to the streets to stop the closure and they've taken their protest right to the doors of Clover Group, the parent company in Hong Kong. On the 20th of October, an action took place in front of Clover head office, organized jointly by Hong Kong labor rights NGOs and trade unions.

Gina protest in front of US Embassy -- Bangkok - 8 October 2006 During the action, management committed to a negotiation meeting, scheduled for 23rd October 2006, between senior management of Clover Group, the Gina Relations Workers Union (GRWU) and Hong Kong labour activists. A few hours later, the Gina Form union representatives in Hong Kong were informed by their colleagues that Gina management had announced closure of the factory effective immediately and was locking the gate at the Thai factory and demanding workers sign voluntary resignation letters. They had also attempted to put a legitimate face on the their actions by depositing severance payments into employee bank accounts which were unilaterally calculated by Gina From and not agreed upon by the union. Thai police and plain clothes military were called in, intimidating the workers. Since October 21st , the union and the workers have staged a peaceful sit-in outside the factory on 21st October, and have announced protests in front of the Ministry of Labour and other institutes.

Action in support of Gina workers at Victoria Secret and inside the Clover Group office - Hong Kong Oct 20, 2006

The agreed meeting between Clover Group and representatives of the GWRU did take place; representatives from various Hong Kong NGOs and the HK Confederation of Trade Unions and a number of affiliates, including the garment trade union also attended. Clover Group once again failed to provide any credible information to prove their claim that closure is due to legitimate and unavoidable business reasons; the company promised to provide only limited financial information regarding Gina Form, while refusing to show information regarding Clover Group, which they admitted was the party deciding upon closure. Instead, Clover management openly blamed the union for costing the company too much money and making the business lose its competitiveness. Clover Group refused to discuss any alternatives to closure with the union delegation.

It is important to note that the union has also objected to the severance package offered via Clover's lawyers in previous meetings. Clover's severance offers thus far have been approximately 10% below what Thai law stipulates, as it fails to include unused paid leave days and other benefits. Clover also refuses to consider the 6 months hardship payment that the union has requested, knowing that most of their member that are over the age of 30 it will be very difficult to find a job in the garment sector again.

Due to the lack of real progress in the first meeting with Clover Group, the union has called for a tripartite meeting between the Clover Group, the main buyer (the US company the Limited Brands) and the union, on Friday the 27th of October.

Please support the union by sending a letter to Clover Group and the buyers today [click here to go directly to action request]. See below for more information on the recent developments, and on the solidarity actions organized in Thailand, Hong Kong, the UK, Canada and the USA.


Closure using police and military personnel

Action in support of Gina workers at Victoria Secret and inside the Clover Group office - Hong Kong Oct 20, 2006

At 1PM Bangkok time on the 20th of October, Gina management began calling workers into their office in groups of five and pressuring them to sign "voluntary" resignation letters. Gina management locked the factory gates and told workers that they should sign the resignation forms and then not come back the next day because the factory was closing and there would be no work. About an hour later, 10 police officers in uniform including the local chief showed up outside the factory. At the same time, two minivans full (approximately 20 people) of military personnel showed up. Some of these personnel had been previously been identified by the Ministry of Labour staff as soldiers when they came to the Ministry with lawyers from Baker and McKenzie (the global law firm hired by management) in the past few weeks. At 4pm the police and some of the soldiers went inside the factory. There are two exit stairways in the factory, a main one and the emergency one.

The factory management blocked the main stairway and stationed soldiers and police along the emergency exit. The country manager announced that if anyone resigned today they would get an extra 30 days pay as "bonus" on top of their severance and that this offer stands for anyone who signs the voluntary resignation form before 31st October. At this point none of the union members have signed any of the forms.

It is a violation of corporate codes of conduct and of most national and international laws to lock workers inside factories and to block emergency exits. Moreover, it is extremely inappropriate to involve military personnel in civilian affairs such as this, especially when police are already present. The use of the military in this fashion is also contravenes codes of conduct and international standards.

Adding insult to injury, Clover Group put out a press release the same day, stating that full severance had been offered, and that they would be donating the remains of "useful materials" from the factory such as plastic bags and paper boxes for the flood relief work of Thailand


Still no evidence of financial necessity for closure

Activists from Labour behind the Label (the UK chapter of the CCC) held a picket in front of a Calvin Klein store, calling for the factory to remain open and denouncing the closure. London Oct 21, 2006

Management maintains the factory has been operating at a loss for over 5 years, but even following requests from various buyers, notably Warnaco and the Limited, all management has produced is a one-page statement alluding to accounts filed with a ministry. They have failed to explain why they have not provided this information to the union (though they in fact negotiated a very good package only last year). Clover Group is closing a unionized factory with a good compliance track record, in favor of a Cambodian supplier (where many labor rights violations are ongoing) and a China supplier (non-unionized, and highly likely to also have a bad compliance record).

Buyers have a choice to make here: are they going to go along with this or not? Over the past weeks, Warnaco, Limited, the Gap (which buys at the Cambodia factory) and to a lesser extent Charming Shoppes have expressed their concern to Clover Group, and have indicated that failure to come to a satisfactory solution would negatively impact their business decisions and their relation with Clover. Though Clover has responded by making a severance offer (which the union believes to be unsatisfactory) the action needed now is for the buyers to send a very clear message to Clover Group that the closure of the Gina factory in the absence of any evidence of legitimate business reasons, the illegal tactics used and the failure to negotiate with the union on alternative solutions to keep the factory open in a transparent manner are unacceptable. The buyers presently sourcing from Gina Form should make it clear that, unless this situation is turned around, they will no longer do business with Clover and that they expect a tripartite meeting to be held on Friday the 27th October to seek ways to keep the factory open. The Limited and Clover should agree to participate in this meeting and other Clover buyers should support this.


Severance insufficient

Activists from Labour behind the Label (the UK chapter of the CCC) held a picket in front of a Calvin Klein store, calling for the factory to remain open and denouncing the closure. London Oct 21, 2006

Though Clover Group claims to have offered and/or paid severance according to the law, they have been repeatedly offering union members approximately 10% less than the mandatory severance payment due. The union has requested and additional 6 months of salary for workers as a hardship payment (and as compensation for the fact that many of the employees are older and will likely be unable to find work again due to hiring preferences in the garment industry). Clover and Gina management have shown no sign of being willing to pay this.

On the 25th September 2006, GRWU submitted a severance package to the tripartite task force formed by the Human Rights Commission particularly for the Gina Form case. Since then, Clover Group International and Gina Form have been refusing to negotiate the union's severance package. Instead of doing so, the Gina Form management used administrative and police pressure in an attempt to coerce workers into signing resignation letters and accept a lower-standard severance package unilaterally offered by the management. The right of workers and the GRWU to bargain for higher level compensation, which includes lost opportunity compensation for middle-aged women employees, maternity compensation for 100 pregnant female workers and other benefits under the Thai Labour Relation Act was simply ignored.

Two-hundred (200) non-union affiliated employees have signed resignation forms and have accepted the severance pay(approx. 8/ months pay per employee) that the company transferred into their accounts. All the other workers that are union members (about 800) confirm that money was deposited, but are refusing to take it. Clover Group management issued misleading information on this matter: they posted an add in a Hong Kong paper on monday with a quote from the Thai Ministry of Labor, stating that "everything in Thailand was settled - all the workers had accepted severance". It appears the Ministry of Labour in Thailand did put out a statement to this effect. On Tuesday (yesterday) the whole union staged a large protest in front of their office for putting out a faulty statement in cahoots with Clover.


Global solidarity actions

Gina protest - Bangkok - 8 October 2006

On 8th October, over 1000 workers from Gina held a public demonstration (the first since the coup, and forbidden according to several decrees) to the front of the US Embassy, where they held a rally, gave speeches condemning Clover Group, called for the factory to be kept open, finally handing over a letter to the Labor Reporting Officer of the US Embassy. [see pictures] The rally got a lot of press attention globally.

In the US, rallies continue to be organized by the United Student Against Sweatshops (USAS) at Victoria's Secret stores. The Maquiladora Solidarity Network (MSN) in Canada got a number of articles published in mainstream press on the role of La Senza (former Gina buyer, and current buyer of Clover in the Cambodia plant).

The action that took place in Hong Kong on the 20th was supported by 30 labour activists from 6 labour organisations and trade unions in Hong Kong [see pictures]. Since then Hong Kong groups have also put out a solidarity statement, as have the Asian Transnational Corporation Network, a labour solidarity network consisting of 20 labour and human rights organisations and trade unions in 12 Asian countries.

On the 21st, activists from Labour behind the Label (the UK chapter of the CCC) held a picket in front of a Calvin Klein store in London, calling for the factory to remain open and denouncing the closure. A Calvin Klein representative came halfway through. [see pictures] . On the 22nd, the ATNC network send out an appeal to the Clover Group, calling upon their network members to contact them as well.


Action request

Please read the update of Nov 29, 2006!
Clover group reaches settlement with Gina Form Bra factory workers

United Students Against Sweatshops protest in Michigan USA at The Limited -- for Gina Workers!

Please contact Limited Brands (Victoria Secret), Warnaco (Calvin Klein), Charming Shoppes and La Senza today and call upon them to ensure that during the tripartite meeting scheduled on the 27tth alternatives to closure are discussed in a meaningful way and that Clover bargains in good faith with the union.

They should also make sure that Clover Group allows all the Gina Form workers to continue accessing to the workplace until a mutual agreeable solution is found , and stop using police, soldiers, or other form of intimidation and coercion against the Gina Form workers to press them into signing documents or prevent them from exercising their legal right to demonstrate.

Addresses and a sample letter are provided below. Please copy in the Clover Group to your message. CCC continues to contact buyers from Clover's facilities in Cambodia and China, requesting them to ensure Clover takes appropriate action.


Sample letter

Dear

I write to express my deep concern over the rapidly deteriorating situation in Thailand at the Gina Form Bra factory, which I understand was closed down unexpectedly and using illegal means last week.

I urge you to inform Clover Group that they must keep Gina Form Bra open, and bargain in good faith with the GRWU. Please state firmly and unequivocally that otherwise you will immediately discontinue all business with Clover Group globally (in Thailand, Cambodia, China, and any other location that Clover might have operations, now or in the future).

Clover Group should discuss alternatives to closure in a meaningfull way with the union, to begin with at the tripartite meeting scheduled for the 27th October in Hong Kong, and your company should actively participate in this discussion. Please indicate your willingness to explore options with Clover Group regarding orders that can be placed at Gina Form Bra, and to develop a plan of action to keep Gina Form Bra open. We also ask that you are transparent regarding your sourcing policies and that you provide the GRWU with relevant information pertinent to the financial situation of the company, per their request.

Clover Group should also allow all the Gina Form workers to continue accessing to the workplace until a mutual agreeable solution is found , and stop using police, soldiers, or other form of intimidation and coercion against the Gina Form workers to press them into signing documents or prevent them from exercising their legal right to demonstrate.

Please keep me informed of your action on this urgent matter,

Sincerely


 

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More info:Please read the update of Nov 29, 2006!
Clover group reaches settlement with Gina Form Bra factory workers





Closure using police and military personnel

Still no evidence of financial necessity for closure

Severance insufficient

Global solidarity actions

What happened before:

Nov 2002, Appeal for action from Gina Relation Labour Union: Thailand

July 2003, Victory at Gina Form!

Oct 5, 2006 - Keep Gina Form Open!